Rudd Mark 2: a clean slate on Indonesia relations

Prime Minister Kevin Rudd is paving the way for better relations with Indonesia by reframing the image of 21st-century Indonesia as the dynamic, vibrant, bourgeoning country that it is, writes Tracee Hutchison.

To many Australians, Indonesia has come to be seen through the prism of pesky boats and brutalised beef - either that or a cheap and easy surfing destination.

But there has been a subtle but interesting shift in diplo-speak from Rudd Mark 2, as Kevin Rudd massages the rhetoric around his first international trip as re-birthed Australian Prime Minister by talking up trade and investment opportunities in Indonesia’s booming economy.

While mandarin-speaking Kevin07 was all the way with Beijing, the early signs suggest Kevin13 is keen to pay Jakarta a little more than lip service - and he should.

With over 240 million people living throughout the archipelago, an estimated 10 million of them in the capital Jakarta, Indonesia is already well ensconced as an economic and strategic powerhouse in the region through mechanisms like ASEAN and geo-political influence.

This week's edict from Rudd to Australian business to look north to the fast-growing opportunities on its (Indonesian) doorstep is a sure sign that Canberra has well and truly clocked that China's economy - and with it Australia's financial drip-feed - is tanking. Just as China turned to Australia for the natural resources to fuel its infrastructure-driven transformation - Indonesia, and particularly Jakarta, is an infrastructure market still waiting to happen.

The city's notorious traffic jams - largely due to dearth of public transport - has morphed into something well beyond inconvenience. The issue is so dire - and so costly in terms of hours lost sitting in traffic - there is even talk in government circles of moving the capital.

But alongside the heavy industry, sits the bourgeoning contemporary industries of modern Indonesia - finance and technology in particular. Almost half the country's population is under 25, its tech-savvy youth have made Jakarta the world's most active "Twitter-city" and the country is the world's fourth largest mobile phone market.

@RuddonWeibo might still be a hit on China's social media Twitter equivalent, Sino Weibo, but expect @KRuddMP to make a splash in Twitter-city during this trip to Indonesia.

The desire for Kevin Rudd to frame this trip in the context of economic opportunity and not as a fire-fighter extinguishing the spot fires of asylum seekers and the live cattle trade is significant. By loudly declaring Indonesia is Australia's most important near neighbour in the context of business potential, Kevin Rudd has re-framed the image of 21st-century Indonesia as the dynamic, vibrant, bourgeoning country that it is.

"Our nearest neighbour, Indonesia is a huge and continuing political democratic story unfolding. And it is a tribute to the people of Indonesia, the successes they have achieved. And, on top of that, those of us in Australia looking through the lens of our own national interest to the country to our north this vast country will within a decade be a vast economy by global standards." Mr Rudd said in his pre-trip press conference.

"For those of you here from business I think we need to open our eyes to the huge opportunities that exist with the Australia-Indonesia trade relationship."

Gone is the tragic dual imagery of rickety-boats full of desperate people clinging vainly to the hope of a better life in Australia and cattle sent to the slaughter - in its place is a sophisticated society with money dripping from its shiny and rapidly multiplying skyscrapers.

Indeed, by 2050, Indonesia will be among the top 5 economies in the world and will have 90 million new consumers by 2030, according to Professor Tim Lindsey. director of the Australia-Indonesia Institute.

You don't have to be Einstein to work out what that means for a country just a few plane-hours away.

And while this is the Indonesia Kevin Rudd is keen for Australia to see, it is also the Indonesia Kevin Rudd wants Indonesia to see the him talking up. That it followed Rudd's Day 1 message that Tony Abbott's 'Stop the Boats' policy risked a "konfrontasi" with Indonesia, reinforcing Indonesia's territorial authority and blowing the policy apart, was a political and diplomatic masterstroke.

Certainly the pre-arranged timing of this annual bi-lateral meeting with Indonesian president Susilo Bambang Yudhoyono meant Kevin Rudd had a significant ball to pick up. Yet he did it with aplomb, describing SBY as a "deep, personal friend". (After three years in backbench wilderness, who knew?).

But Rudd Mark 2, with none of the damage of Australia's suspension of live cattle trade on his hands and a mea culpa that his move to dismantle the Howard government's Pacific Solution had been a boon for people smugglers, has grabbed the chance at a clean slate with Jakarta to re-badge and reposition how the relationship between the countries might progress.

Just a week into his old job, Kevin Rudd has returned to one of his favourite themes, talking up Australia's role as a middle-power on the global stage - this time around with just a little more Bahasa than Beijing.

Don't be surprised if a significant bi-lateral economic cooperation and trade agreement between the two countries sits top of the list in the joint-communique when SBY and Rudd stand side by side smiling at the end of the these talks.

Tracee Hutchison broadcasts Australia/Asia/Pacific for ABC News Radio and Radio Australia. View her full profile here.